Joint venture partners City Developments Ltd (CDL) and MCL Land launched their third project, Tembusu Grand, on April 8. Having moved 340 out of 638 units, the take-up rate of the project on Jalan Tembusu, just off Tanjong Katong Road, was 53.3%. Units were sold at an average price of $2,465 psf.
According to the developers, Singaporeans comprised 90% of the buyers, while Permanent Residents (PRs) and foreigners accounted for the remaining 10%. Foreigners included those from China, Malaysia and the US.
Unit sizes at Tembusu Grand range from 527 sq ft for a one-bedroom plus study to 1,711 sq ft for a five-bedroom, with two penthouses of 2,691 sq ft each. Apartments were priced from $1.248 million for a one-bedroom plus study, $1.548 million for a two-bedroom (667 sq ft), $2.278 million for a three-bedroom (990 sq ft), $3.288 million for a four-bedroom (1,432 sq ft) and $4.028 million for a five-bedroom unit (2,691 sq ft).
With first-day sales above 50%, Tembusu Grand is "the best-selling project in the Rest of Central Region (RCR) to date", says Mark Yip, CEO of Huttons Asia.
Slightly above 70% of the units sold were the one-bedroom-plus-study, two-bedroom and two-bedroom-plus-study types. "By and large, most of the buyers of such units were investors, although some were buying their first home," says Ismail Gafoor, CEO of PropNex.
The three- and three-bedroom-plus-study were equally popular, with more than 80 units sold yesterday. Three-, four- and five-bedrooms accounted for nearly 100 units or almost 30% of the units sold, according to Gafoor. "This proves that a rightly priced development will still gain traction with investors and upgraders, even in the current climate of uncertainty," he adds.
The last time there was a sizeable project launch in the vicinity was the 360-unit Haig Court in 2004, says Huttons’ Yip. "Hence, besides the desire to live in District 15 and the Katong area, pent-up demand could be another factor behind the strong sales."
A significant number of buyers were those in their 30s, observes Marcus Chu, CEO of ERA Realty Network. Tembusu Grand is within 1km of schools such as Tanjong Katong Primary School, Haig Girls' School and Kong Hwa School. Other popular schools within a 2km range include Tao Nan School, Tanjong Katong Girls' School and Chung Cheng High School (Main).
Besides families, the location is popular with investors as it's within an eight-minute walk to the upcoming Tanjong Katong MRT station on the Thomson-East Coast Line and a short drive to the CBD, Marina Bay financial district and Changi Airport via major expressways such as the East Coast Park Expressway, Pan-Island Expressway and Kallang-Paya Lebar Expressway, adds Chu.
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Ken Low, managing partner of SRI, attributes Tembusu Grand's average sale price of $2,465 psf to "the strong track record and popularity of the District 15 neighbourhood". There was also "pent-up demand" due to the lack of launches last year, he adds.
Tembusu Grand marked CDL and MCL’s first launch of 2023. “The robust response for Tembusu Grand reflects a strong demand for well-designed homes in this sought-after locale and vibrant neighbourhood with hip cafes, trendy shops and many dining options and amenities,” says Sherman Kwek, CDL group CEO.
The last two project launches by CDL and MCL - Piccadilly Grand and Copen Grand - also achieved strong results on their first day, note Huttons’ Yip.
The 407-unit Piccadilly Grand at Farrer Park was 77% sold at launch last May and is 88.2% sold to date at an average price of $2,130 psf. The 639-unit executive condo Copen Grand at Tengah Garden Walk was 73% sold at launch last October and fully sold the following month at an average price of $1,334 psf. “Tembusu Grand marks another successful collaboration between MCL Land and CDL, and we certainly look forward to future collaborations,” says Rob Garman, MCL Land CEO.
According to Huttons' Yip, unsold residential inventory stands at 16,152 units. "With below-average completion of new homes from 2024, this bodes well for upcoming launches in 2023 and those looking for a property this year," he adds.
The sales results at Tembusu Grand shows “buyer confidence in bigger developments", according to PropNex's Gafoor. "To sell 53% of a 638-unit development is very positive news," he says. "It will have a positive impact on Blossoms by the Park and The Continuum, which will be launched in the coming weeks."
